Amyris Reports Second Quarter 2012 Financial Results

EMERYVILLE, Calif., July 31, 2012 (GLOBE NEWSWIRE) -- Amyris, Inc. (Nasdaq:AMRS), a leading renewable chemicals and fuels company, today announced financial results for the second quarter ended June 30, 2012.

"During the second quarter, we executed on our focused strategy. We deliberately narrowed our contract manufacturing operations, and we have reduced our operating costs while continuing to make progress on our technology and commercialization activities," said John Melo, CEO of Amyris. "Amyris's industrial-scale farnesene production facility at Paraiso remains on target, with initial commissioning underway," Melo added.

Earlier today, Amyris announced the signing of an amendment to its collaboration agreement with Total. Under the enhanced collaboration, Total reaffirmed its commitment to Amyris's technology and dedicated its $82 million funding budget over the next three years exclusively for the deployment of Biofene, Amyris's renewable farnesene, for production of renewable diesel and jet fuel.

FINANCIAL RESULTS

Aggregate revenues for the quarter ended June 30, 2012 were $19.3 million versus $32.0 million in the second quarter of 2011. The decline in revenue was due to the planned wind-down of Amyris Fuels, the Company's ethanol and gasoline trading business. Cost of products sold also declined for the quarter, due principally to the aforementioned wind-down of Amyris Fuels, partially offset by increased costs associated with the production of Amyris renewable products.

Total research and development and sales, general and administrative expenses declined 11% to $40.7 million for the quarter.

GAAP net loss attributable to common stockholders for the quarter was $46.8 million ($0.81 per share) compared to a loss of $42.6 million ($0.95 per share) in the same quarter of 2011. On a non-GAAP basis, the net loss attributable to common stockholders was $37.9 million ($0.66 per share) compared to $34.7 million ($0.78 per share) in the prior year. A reconciliation of GAAP to non-GAAP results is included in this release.

The Company's balance of cash, cash equivalents and marketable securities at the end of the second quarter was $67.1 million.

About Amyris

Amyris is an integrated renewable products company focused on providing sustainable alternatives to a broad range of petroleum-sourced products. Amyris uses its industrial synthetic biology platform to convert plant sugars into a variety of hydrocarbon molecules - flexible building blocks which can be used in a wide range of products. Amyris is commercializing these products both as No Compromise® renewable ingredients in cosmetics, flavors and fragrances, polymers, lubricants and consumer products, and also as No Compromise renewable diesel and jet fuel. Amyris Brasil Ltda., a subsidiary of Amyris, oversees the establishment and expansion of Amyris's production in Brazil. More information about Amyris is available at www.amyris.com.

The Company will discuss these results in a conference call scheduled for today at 2:00 pm PDT/5:00 pm EDT. Investors may access a live audio webcast of this conference call and the earnings call presentation in the investor relations section of the Company's website at http://investors.amyris.com. A replay of the webcast will be available on the investor relations section of the Company's website approximately two hours after the conclusion of the call and remain available for approximately 60 calendar days.

Forward-Looking Statements

This release contains forward-looking statements, and any statements other than statements of historical facts could be deemed to be forward-looking statements. These forward-looking statements include, among other things, statements regarding future events (such as growth and commercialization) that involve risks and uncertainties. These statements are based on management's current expectations and actual results and future events may differ materially due to risks and uncertainties, including those associated with any delays in production and commercialization of products and other risks detailed in the "Risk Factors" section of Amyris's Form 10-K, as filed on February 28, 2012. Amyris disclaims any obligation to update information contained in these forward-looking statements whether as a result of new information, future events, or otherwise.

Non-GAAP Financial
Information

Consolidated financial information has been presented in accordance with GAAP as well as on a non-GAAP basis. On a non-GAAP basis, financial measures exclude non-cash items such as stock-based compensation. Management believes that it is useful to supplement its GAAP financial statements with this non-GAAP information because management uses such information internally for its operating, budgeting and financial planning purposes. These non-GAAP financial measures also facilitate management's internal comparisons to Amyris's historical performance as well as comparisons to the operating results of other companies. In addition, Amyris believes these non-GAAP financial measures are useful to investors because they allow for greater transparency into the indicators used by management as a basis for its financial and operational decision making. Non-GAAP information is not prepared under a
comprehensive set of accounting rules and therefore, should only be read in conjunction with financial information reported under U.S. GAAP when understanding Amyris's operating performance. Reconciliation between GAAP and non-GAAP financial information is provided in the financial statement tables below.

Amyris, the Amyris logo and No Compromise are trademarks or registered trademarks of Amyris, Inc.

Amyris, Inc.

Condensed Consolidated Statement of Operations

(Unaudited)

(In thousands, except per share data)

Three Months Ended
June 30,

Six Months Ended
June 30,

2012

2011

2012

2011

Revenues

Product sales

$ 15,580

$ 27,816

$ 41,887

$ 61,836

Grants and collaborations revenue

3,683

4,186

6,845

7,340

Total revenues

19,263

32,002

48,732

69,176

Costs and operating expenses

Cost of products sold

23,636

29,136

67,447

63,518

Loss on purchase commitments and write off of production assets

--

--

36,652

--

Research and development (1)

18,500

23,446

39,844

43,181

Sales, general and administrative (1)

22,231

22,249

43,946

38,227

Total costs and operating expenses

64,367

74,831

187,889

144,926

Loss from operations

(45,104)

(42,829)

(139,157)

(75,750)

Other income (expense):

Interest income

503

341

1,109

641

Interest expense

(1,260)

(304)

(2,314)

(881)

Other expense, net

(1,025)

(201)

(1,176)

(150)

Total other income (expense)

(1,782)

(164)

(2,381)

(390)

Loss before income taxes

(46,886)

(42,993)

(141,538)

(76,140)

Benefit from (provision for) income taxes

(249)

175

(493)

175

Net loss

$ (47,135)

$ (42,818)

$ (142,031)

$ (75,965)

Net loss attributable to noncontrolling interest

329

203

677

213

Net loss attributable to Amyris, Inc. common stockholders

$ (46,806)

$ (42,615)

$ (141,354)

$ (75,752)

Net loss per share attributable to common stockholders, basic and diluted

$ (0.81)

$ (0.95)

$ (2.63)

$ (1.71)

Weighted-average shares of common stock outstanding used in computing net loss per share of common stock, basic and diluted

57,442,834

44,626,721

53,828,541

44,239,104

(1) Includes stock-based compensation expense of the following for the periods presented:

Research and development

$ 1,558

$ 2,009

$ 3,071

$ 2,986

Sales, general and administrative

7,356

5,947

12,364

8,977

$ 8,914

$ 7,956

$ 15,435

$ 11,963

Amyris, Inc.

Condensed Consolidated Balance Sheets

(Unaudited)

(In thousands)

June 30,

December 31,

2012

2011

Assets

Current assets:

Cash, cash equivalents and marketable securities

$ 67,119

$ 103,592

Accounts receivable, net

3,461

6,936

Inventories

8,764

9,070

Prepaid expenses and other current assets

10,086

19,873

Total current assets

89,430

139,471

Property and equipment, net

158,637

128,101

Restricted cash

953

--

Other assets

36,718

43,001

Goodwill and intangible assets

9,345

9,538

Total assets

$ 295,083

$ 320,111

Liabilities and Equity

Current liabilities:

Accounts payable

$ 20,841

$ 26,379

Deferred revenue

3,019

3,139

Accrued and other current liabilities

25,162

30,982

Capital lease obligation, current portion

2,518

3,717

Debt, current portion

44,755

28,049

Total current liabilities

96,295

92,266

Capital lease obligation, net of current portion

1,743

2,619

Long-term debt, net of current portion

35,698

13,275

Deferred rent, net of current portion

9,264

9,957

Deferred revenue, net of current portion

3,946

4,097

Other liabilities

56,853

37,085

Total liabilities

203,799

159,299

Amyris, Inc. stockholders' equity

92,033

161,052

Noncontrolling interest

(749)

(240)

Total stockholder's equity

91,284

160,812

Total liabilities and stockholders' equity

$ 295,083

$ 320,111

Amyris, Inc.

Supplemental Consolidated Financial Information

(Unaudited)

(In thousands, except per share data)

Three Months Ended June 30,

Six Months Ended June 30,

2012

2011

2012

2011

Other Selected Financial Information:

Capital expenditures and deposits on property and equipment

$ 23,588

$ 16,066

$ 45,365

$ 30,479

Depreciation and amortization

$ 3,820

$ 2,726

$ 7,507

$ 4,831

Product sales

Fuels

$ 13,309

$ 27,784

$ 37,179

$ 61,804

Renewables

2,271

32

4,708

32

Total product sales

$ 15,580

$ 27,816

$ 41,887

$ 61,836

Reconciliation of GAAP to Non-GAAP Net Loss Per Share:

Net loss attributable to Amyris Inc., common stockholders (GAAP)

$ (46,806)

$ (42,615)

$ (141,354)

$ (75,752)

Stock-based compensation expense

8,914

7,956

15,435

11,963

Loss on purchase commitments and write off of production assets

--

--

36,652

--

Net loss attributable to Amyris Inc., common stockholders (Non- GAAP)

$ (37,892)

$ (34,659)

$ (89,267)

$ (63,789)

Net loss per share attributable to common stockholders, basic and diluted (GAAP)

$ (0.81)

$ (0.95)

$ (2.63)

$ (1.71)

Stock-based compensation expense

0.15

0.17

0.29

0.27

Loss on purchase commitments and write off of production assets

--

--

0.68

--

Net loss per share attributable to common stockholders, basic and diluted (Non-GAAP)